As of April 2025, unpaid carers in the UK will see an increase in the Carer’s Allowance, offering them much-needed financial relief. This vital benefit helps those who dedicate their time and energy to supporting individuals with disabilities, long-term illnesses, or mental health conditions. To ensure that the allowance reflects the current economic climate, it has been adjusted to account for inflation. These changes aim to ease the financial burden on the thousands of unpaid carers across England, Scotland, and Wales.
The updated weekly Carer’s Allowance rate, which comes into effect on April 7, 2025, has increased from £81.90 to £83.30, translating into a four-week payment of £333.20. The new annual total is set to be £4,331.60. Below is a detailed breakdown of the key updates, eligibility criteria, payment dates, and how to apply for the allowance.
Carer’s Allowance 2025: Key Updates
Overview of Carer’s Allowance Payment for 2025
| Detail | Information |
|---|---|
| New Weekly Rate (April 2025) | £83.30 |
| Previous Rate (2024) | £81.90 |
| Annual Carer’s Allowance 2025 | £4,331.60 |
| Payment Frequency | Every 4 weeks |
| Minimum Care Requirement | 35 hours/week |
| Additional Carer’s Element (Universal Credit) | £198.31/month |
UK Youth Mobility Scheme 2025, Important Dates & How to Apply
UK Cost of Living Support 2025 – Who Will Get the Extra Payment
UK High-Demand Work Visa Jobs 2025, Full List of Sponsored Roles & How to Apply
£1,768 Monthly DWP Childcare Benefit in April 2025, 19.7 Million Households to Benefit
Carer’s Allowance Increase: 2024 to 2025
In 2024, Carer’s Allowance saw a 6.7% increase, raising the weekly rate from £76.75 to £81.90. This was a substantial adjustment that helped carers manage rising living costs. In 2025, there has been a further 1.7% increase, raising the rate to £83.30 per week. This change aligns with the cost-of-living adjustments and aims to keep pace with the economic pressures carers face.
Moreover, there may be additional updates or announcements regarding other support programs in the upcoming Spring Budget 2025, which could provide further relief to carers across the UK.
Key Carer’s Allowance Payment Dates for 2025
Carer’s Allowance is paid every four weeks, but for those eligible for the Carer Support Payment, there are two important lump-sum payments in 2025:
- June Payment: Paid on June 7, 2025, for individuals eligible by April 8, 2025.
- December Payment: Paid on December 6, 2025, for individuals eligible by October 7, 2025.
These payments help carers manage their finances more effectively by providing additional support throughout the year.
Backdating Carer’s Allowance Claims
Carers may be eligible to backdate their claims for up to three months from the application date. To qualify for backdating, carers must meet the following conditions:
- Provide at least 35 hours of care per week.
- The person being cared for must be receiving one of the following benefits:
- Personal Independence Payment (PIP)
- Disability Living Allowance (DLA)
- Attendance Allowance
If these criteria are met, carers can receive payment for the period leading up to the application, offering some additional financial relief.
Processing Time for Carer’s Allowance Claims
The decision-making process for Carer’s Allowance applications typically takes between 8 to 12 weeks, though it may extend up to 15 weeks due to backlogs. Once approved, payments will be backdated to the date of eligibility and will be directly deposited into the applicant’s bank account. Therefore, it’s important for carers to submit complete and accurate applications to avoid any unnecessary delays.
Eligibility Criteria for Carer’s Allowance
To be eligible for Carer’s Allowance, applicants must meet the following criteria:
- Care Requirement: Provide at least 35 hours of care per week.
- Income Threshold: Earn no more than £151 per week after deductions (tax, National Insurance).
- Residency: Have lived in England, Scotland, or Wales for at least two of the last three years.
- Education: Not be enrolled in full-time education.
If carers meet these conditions, they may be eligible to receive the allowance, which provides crucial financial support for those who dedicate significant time to caring for loved ones.
Carer’s Allowance in Scotland
In Scotland, the Carer’s Allowance follows the same rate as the rest of the UK. Starting in April 2025, Scottish carers will see the same increase to £83.30 per week. Additionally, carers in Scotland may be eligible for extra support through the Carer’s Allowance Supplement, which can further enhance the financial assistance available to them.
Impact on Other Government Benefits
Receiving Carer’s Allowance can affect other government benefits that both the carer and the person receiving care may be entitled to. These include:
- Severe Disability Premium
- Personal Independence Payment (PIP)
- Disability Living Allowance (DLA)
- Attendance Allowance
- Universal Credit
- Working Tax Credit or Child Tax Credit
Carers need to be aware that Carer’s Allowance is considered income for Universal Credit (UC) purposes. As a result, the same amount may be deducted from the UC payments. However, claiming Carer’s Allowance helps build National Insurance credits, which can be beneficial in the long term.
Moreover, if carers receive Universal Credit but do not claim Carer’s Allowance, they may still qualify for the Carer’s Element, which currently provides an additional £198.31 per month.
How to Apply for Carer’s Allowance in 2025?
If you are an unpaid carer and meet the eligibility criteria, you can apply for Carer’s Allowance by following these steps:
- Confirm Eligibility: Ensure you meet the care hours and earnings thresholds.
- Prepare Documents: Gather necessary documentation such as identification, proof of earnings (if applicable), and details of the person you care for.
- Complete the Application: Fill out the application form, available either online or in paper format, with accurate details.
- Submit and Wait: After submission, applications are usually processed within 8 to 12 weeks, but delays may occur.
- Receive Payment: Once your application is approved, payments will be directly deposited into your bank account.
It’s important to ensure that all required documents are submitted promptly to prevent delays in processing your application.
Moving Forward
The increase in Carer’s Allowance for 2025 brings welcome financial relief to the thousands of unpaid carers across the UK who play an essential role in supporting individuals with disabilities, long-term health conditions, and mental health challenges. By adjusting the allowance in line with inflation, the government ensures that carers are supported as they continue to dedicate their time to those who need it most. With the right eligibility criteria and application process, carers can receive the financial support they deserve, helping to alleviate some of the challenges they face.